Cryptocurrency Adoption by Business Sector
Over the past decade, the payment landscape has undergone quite remarkable changes. Consumer demand for richer experiences and greater convenience has led to an increase in online shopping and the rising expectations that the payment systems should be efficient and secure. According to Henry Powell – CEO of AAG Markets, innovative means of payment are springing up to provide a more efficient and seamless payment experience. This led to the creation of the decentralized payment system and the rise of the booming digital currencies popularly known as cryptocurrencies. A peer to a peer payment method that doesn’t require a third party. How is cryptocurrency changing the game in the business sector? Could this be the chief way consumers will be paying for goods and services in this digitalized world?
Let us examine with AAG Markets, a global CFD trading platform that understands the value of cryptocurrencies as a payment method. Let’s dig in!
Table of Contents
Understanding Cryptocurrency
Cryptocurrency is a digital currency that serves as a medium of exchange between peers without the need for a third party. It connects consumers digitally to ensure a transparent transaction that is secured by cryptography and confirmed by blockchain. Hence, it provides secure and transparent transactions while making counterfeit, double-spend or fraud nearly impossible. It’s no surprise businesses and consumers are turning to cryptocurrency as a fast, secure, efficient and lower-cost payment system.
The Rise of Cryptocurrency
With 36 percent of the small and mid-sized businesses accepting cryptocurrency, while 59 percent of those companies purchased digital currency for their personal use according to the HSB survey. Not to talk of many large companies accepting bitcoin as a payment system and legitimate source of fund, cryptocurrency is sure taken over the market place. Moreover the use of cryptocurrency-
In the Travel Sector
Many companies have integrated this technology into their businesses especially the travel and tourism industry says Henry Powell – CEO of AAG Markets. From booking a flight to paying for hotel rooms to making a parking reservation, businesses are looking to make payment easier and seamless for their consumers. For instance, providers such as Cheapair.com, Shuttlefare, Expedia, and Greitai, have embraced this payment method allowing customers to pay for a flight ticket or hotel room from their crypto wallets.
In E-commerce
Although the eCommerce has experienced growth and it is one of the booming industry, it cannot be denied that the industry has faced challenges with the fragile infrastructure associated with traditional financial systems where customers use their credit/debit cards to make purchases online. Some companies such as Amazon, Newegg, KFC Canada, overstocks are few of the big players accepting cryptocurrencies. Apps, such as Circle, Square, and even Revolut, have integrated cryptocurrency buying and selling, to attract new customers to their sites. The low-cost transaction fee, faster transactions, and boost of brand image are all part of the reasons why e-commerce is turning to cryptocurrencies.
In the Financial Sector
Financial services are also not left out. Some forward-thinking banks are using the crypto model to ascertain how they may provide security services in a more efficient and cost-effective manner. For instance, more than 121 banks have signed up with Ripple, to promote cross-border transfers with the blockchain while reducing cost. Global financial firms such as AAG Markets are also offering unique, transparent and efficient solutions to consumers using cryptocurrencies.
Cryptocurrency: a Borderless Economy
Cryptocurrency has no cross border restrictions and it encourages a globalized economy. Facebook, one of the largest social platform’s recent announcement of the launching of its new Libra cryptocurrency. It shows how much the world is seeing the value of crypto. And Crypto is going far beyond speculative instrument, it is a new wave revolutionizing the financial world. It is giving power and freedom to consumers while ensuring businesses are treading on a transparent, fast and secure path.
February 27, 2020